Queensland farmers will be the first to benefit from the Federal Government's emergency farm finance package.

The package will provide $60 million to the state over two years to support farmers struggling with debt.

The state's northern beef industry is in particular, because of drought, bushfires and cuts to live exports.

State Agriculture Minister John McVeigh has signed the deal with his new federal counterpart Joel Fitzgibbon in the Central Queensland town of Emerald.

The deal has taken two months to sign, but Mr Fitzgibbon says the money should start flowing as soon as the Queensland Government works out the assessment process.

"We're not inviting farmers to take on more debt," he said.

"What we're doing is taking roughly half of their debt off the books of the bank and putting that debt on the Commonwealth's books for five years and will allow them to pay an interest only loan at lower interest rate, so it's a substantial debt servicing relief for those farm families."

The National Farmers Federation has welcomed today's signing and says the administrative arrangements need to be sorted out quickly to allow farmers to access the payments.

Annie Clarke, who's cattle property, Brinawa, is north of Mt Isa, says people in drought will be wanting to take advantage of the loans to provide some relief to their debt-servicing obligations.

But the former mayor of the Burke Shire says the key will be the definition of viability that's applied to businesses and the other criteria which will need to be met.

She's also questioned why only loans are on offer for five years.

"Let's say the drought goes for five years. There doesn't seem to be any future planning in this at all.

"If we're going to talk about viability, can I compare the rural industries to the car industries and also the big banks, which have been given massive financial assistance over time to maintain their viability because you have to have stimulation to make these businesses go.

"So it's OK to stimulate one industry but it's not OK to keep the other industries in a position where they can continue to stimulate the economy.

"Under the current climatic conditions and in the short term, there's potentially places that may need a type of handout, as opposed to offering another loan."